2Sustain

As I’m sure you’re aware, oil prices are still on the rise, and unfortunately, analysts say that trend isn’t likely to reverse itself any time soon.

As consumers begrudgingly pat their empty pockets at the pump, businesses, particularly in the shipping sector, also are wondering how best to adapt.

Some are trying to lay blame or even pass the buck by forcing additional surcharges and costs. Others are taking a more proactive approach, advocating for alternative energy fixes or other innovative technology solutions.

In his recent blog post Three Strategies for Reducing Fuel Costs in 2012, Derek Singleton outlines a handful of these new ideas. As Singleton points out, even though rising fuel costs have caused more that a few headaches for shippers and carriers, these problems also have inspired valuable scrutiny of processes and procedures. As a result, shippers are learning that careful planning and the use of predictive technologies–such as distribution business software–can minimize the impact fuel costs have on the bottom line.

If you’re managing a fleet, Singleton suggests you cope with rising fuel costs by using three general strategies. He advises you: (more…)

For the third year in a row, UPS has earned the top score in the consumer shipping sector on the annual Climate Counts scorecard.

UPS earned its No. 1 spot with a score of 80, edging out competitors Deutsche Post World Net/DHL, the US Postal Service and FedEx, which ranked second, third and fourth, respectively.

Among the 136 companies ranked by Climate Counts, UPS also shared the 11th highest score across all industries alongside Sony, Nokia and AB Electrolux.

“This recognition is significant because Climate Counts rigorously evaluates performance rather than corporate marketing claims,” said Scott Wicker, UPS’s chief sustainability officer. “UPS’s repeated and consistent top ranking in the shipping segment highlights our efforts to measure, manage and reduce our carbon footprint while offering consumers more choices that support their commitment to the environment.”

As part of their corporate decarbonization strategy, UPS implemented proprietary routing technology to assist drivers in maximizing the efficiency of their delivery route. (more…)

Late last month, UPS released the latest edition of its annual sustainability report, and once again, the company has managed to reduce the amount of fuel it’s using to deliver each package in the United States.

Interestingly, the company’s US package volume rose 1.8 percent in 2010 compared to 2009, and yet UPS reduced the amount of fuel consumed per package by 3.3 percent. The company attributed the improvement to:

• deploying the right vehicle on the right routes,
• using technology to minimize the miles driven and
• focusing on how behavior can affect fuel use.

All told, technology has enabled UPS to avoid driving more than 63.5 million miles in 2010 with an associated emissions avoidance of 68,000 metric tonnes. As remarkable as it sounds, UPS estimates that distance is the equivalent of 251,987 trips to the International Space Station.

How, exactly, has the company used technology to reduce fuel consumption? According to a press release, UPS has specifically improved: (more…)

The Marine Environment Protection Committee (MEPC), part of the United Nation’s International Maritime Organization (IMO), recently adopted mandatory measures to reduce emissions of greenhouse gases (GHGs) from international shipping. Approved last month at IMO Headquarters in London, these are the first-ever mandatory global greenhouse emissions plan for any international industry sector.

The new regulations apply to all ships of 400 gross tonnage and above and are expected to enter into force on January 1, 2013.

The standard for new ships, the Energy Efficiency Design Index (EEDI), is a non-prescriptive performance-based mechanism that leaves the choice of energy efficient technologies on newly-built ships up to the shipbuilder. As long as ships achieve the required energy-efficient metrics, ship designers and builders are at liberty to choose the most cost-effective methods needed to comply with these new regulations.

An additional standard, the Ship Energy Efficiency Management Plan (SEEMP), applies to ships currently in operation. The SEEMP provides a mechanism for operators to improve the energy efficiency of ships (using slow steaming, e.g.).

As you might expect, not everyone is satisfied with the IMO’s new standards. Critics note that developing countries have a six-year waiver, and the rules only apply to new ships replacing old ones. (more…)

Could wind power help reduce greenhouse gas emissions in the shipping industry?

Cargill wants to find out. The company has partnered with Hamburg-based SkySails to use innovative kite technology to help power large shipping vessels.

According to a press release, next December Cargill will install a 320m2 SkySails kite on a handysize vessel of between 25,000 and 30,000 deadweight tonnes, which the company has on long-term charter. Reportedly, this will then be the largest-ever vessel propelled by a kite.

SkySails estimates that the kite, which flies ahead of the vessel, can generate enough propulsion to reduce consumption of bunker fuel by up to 35 percent in ideal sailing conditions. The kite functions at a height of between 100 to 420 meters and flies in a figure-eight formation, steered by an automatic control system.

G.J. van den Akker, head of Cargill’s ocean transportation business, called the SkySail’s project “a meaningful first step” towards driving environmental best practice within the shipping industry. (more…)